Palantir Technologies Inc (NASDAQ:PLTR) shares are hitting new highs on Wednesday on continued momentum following the company’s blowout earnings earlier this week. Here’s what you need to know.
What To Know: Palantir shares are riding momentum to all-time highs after the company beat analyst estimates for the eighth consecutive quarter. Palantir reported second-quarter revenue of $1.004 billion versus estimates of $939.71 million, and adjusted earnings of 16 cents per share versus estimates of 14 cents per share.
U.S. Commercial revenue increased 93% year-over-year and U.S. Government revenue was up 53% year-over-year. The company’s customer count grew 43% year-over-year in the second quarter.
Palantir guided for third-quarter revenue of $1.083 billion to $1.087 billion versus estimates of $981.1 million, representing the highest sequential quarterly revenue growth guidance in company history. The company also raised its full-year outlook to a range of $4.14 billion to $4.15 billion versus estimates of $3.9 billion, as it continues to ride strong AI tailwinds.
"This is still only the beginning of something much larger and, we believe, even more significant," said Alex Karp, co-founder and CEO of Palantir.
Wedbush analyst Dan Ives maintained Palantir with an Outperform rating following the print and raised the price target from $160 to a Street-high $200, citing "continued hyper growth demand" for the company’s AI products.
Several other analysts also maintained bullish or neutral ratings and raised price targets ranging from $141 to $182. RBC Capital took a more bearish view, maintaining an Underperform rating and lifting its price target from $40 to $45.
Increased trading volume and positive sector trends appear to be contributing to the upward movement in Palantir shares. The stock shows strong momentum with a Benzinga momentum score of 99 after hitting a high of $180.58 on Wednesday. Support is solid at $171.01, which aligns with the recent low and provides a clear floor for potential pullbacks.
The RSI is calculated at 66.75, indicating that the stock is approaching overbought territory but still has room to run. The MACD is bullish, with the MACD line at 2.15 and the signal line at 1.85, showing a widening gap that supports the upward momentum.
PLTR Price Action: Palantir shares were off the highs of the session, but still up 2.66% at $177.86 at the time of publication Wednesday, according to Benzinga Pro.
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